Mumbai: Telecom players will bid aggressively in the forthcoming spectrum auction and the government may be able to raise Rs 90,000 crore through the sale of radiowaves, credit rating agency Crisil said Monday.

"With nearly half of Rs 1,200 billion annual revenues at stake for large operators, the importance of the forthcoming spectrum auction can't be overstated. Telecom operators will shell out more than Rs 900 billion to bag airwaves
(radiowaves) in the upcoming telecom auction," it said in a note.

The government has set a very high base price for the auction, which is slated to help public finances in a big way, given the slow revenue growth during the current fiscal.

Global rating agency, Crisil has said today that the implementation of the new estate regulatory rules, which were recently cleared by the union cabinet, will lead of higher demand for residential property in the country and increase growth in the sector.

The state spending on health, education, family welfare and scientific services grew faster than nominal gross domestic product (GDP) growth during the period between financial years of 2003-04 and 2010-11, a fresh research by Crisil revealed.

Crisil analysed the trends in government spending of Centre as well as states from 2003-04 to 2010-11, and spending on education and health grew at a rate of 19 per cent and 17.5 per cent, faster than GDP growth rate of 15.3 per cent.

More than half of actively managed large-cap equity mutual funds failed to beat their respective benchmark index in the past five years, according to a fresh report by S&P Dow Jones Indices and Crisil.

The standard against which the performance of mutual funds is gauged is called benchmark. The agency analyzed S&P Indices Versus Active Funds scorecard and found that 52.63 per cent of the actively managed large-cap equity mutual funds underperformed their benchmark over the last one year and 53.33 per cent underperformed their benchmark over the last five years.

Indian business process outsourcing (BPO) industry will be best suited to offer high-end services as low-end services have become unsustainable, most experts who attended the software industry lobby body Nasscom’s annual BPO summit said.

India once enjoyed labour arbitrage but now many countries like Philippines are offering call centre services at a cheaper cost. The advent of cloud computing, and a fall in spending on technology due to the persistent global economic slowdown have also made low-end work unsustainable for Indian companies.

Consumption in rural India is growing at a faster pace than in urban areas, thanks to an increase in household incomes, a fresh report by credit rating agency CRISIL said.

The CRISIL report says that residents of rural India additionally spent Rs. 3,750 billion between 2009-10 and 2011-12, while additional spending by urbanites was Rs. 2,994 billion during the same period.

CRISIL Research has cut India GDP growth forecast to 5.5 per cent for 2012-13 based on lower foreign investment inflows to the country. The report has reduced the estimates from earlier 6.5% GDP growth.

CRISIL report also expects the WPI inflation to remain higher at 8 per cent. Indian economy is already struggling lower growth. The policy in-action of UPA government will result in lower foreign investment and can reduce growth in various sectors.

CRISIL Ratings has said that it expects a foreign direct investment (FDI) inflow of USD 2.5-3.0 billion over the next five years in the multi-brand retail sector.

The research firm has released its report on Foreign direct investment (FDI). The report shows that the food and grocery (F&G) segment will attract the highest share of the likely FDI inflows. It says that the condition specifying 50% investment in back-end infrastructure suits with the commercial requirement in the F&G segment.

Rating agencies are considering a sharp rise in the upgrades, reflecting a optimistic economy.

Though Crisil witnessed 253 promotes during the first half of FY11, Icra witnessed 215 upgrades during the period. In the year-ago period in contrast, they (Crisil and Icra) upgraded only 23 and 43 entities, correspondingly.

Crisil's customized credit ratio (MCR - the ratio of upgrades plus reaffirmations to reduces plus reaffirmations) has gone beyond one for the first time after a gap of three and a half years.

As per the foremost national rating agency Crisil, banks might probably stridently trudge their deposit charges in the subsequent half with lenders anticipating a muscular credit increase renewal during the remainder of the year.

Making a note of it that the retort of the bankers to the balanced tapering of financial stepladder by the Reserve Bank has been calculated and plodding during the initial half of the year, Crisil anticipates the climb to be pointed in the subsequent half and expressed that this might be emphasized if the Central Bank upshot any more hike in the subsequent half.

Crisil, the Indian affiliate of Standard & Poor's, have acquired Chicago-headquartered knowledge procedure outsourcing company Pipal Research for $12.75 million from FirstSource Solutions. The rating agency proposed the ideas to enlarge its research business in China.

Pipal Research facilitates research services to the best corporates in Europe and North America. It was established in 2001 by previous McKinsey professional Manoj Jain who is now the chairman of the company. The corporation report $8.1 million returns for FY10.

The grade rating indicates that the fundamentals of the IPO are above average relative to the other listed equity securities in India.

India's second-biggest state-run oil producer after ONGC, Oil India will offer 2.64 crore equity shares to the public in its initial offering, while the government will simultaneously sell 10% of its equity in the company to other state-run refiners.